Franchise experts share practical tips for Chinese catering brands' overseas expansion

The 2026 CCFA Franchise Convention began on May 28 in Beijing. At the event, a roundtable dialogue took place with the theme Chain Brands Going Global, Winning Together: A New Phase of Globalization for Chinese Food & Beverage Brands.

A photo captures the roundtable dialogue held during the 2026 CCFA Franchise Convention in Beijing, May 28, 2026. [Photo by Yang Chuanli/China.org.cn]

The roundtable brought together Sherry McNeil, president and CEO of the Canadian Franchise Association; Andrew Nugroho, secretary general of the Indonesian Franchise Association; Albert Kong, advisor to the Franchising and Licensing Association (Singapore), alongside two domestic brand founders: Wei Tongrong, founder of YONNY, and Sean Shang, co-founder of CHAGEE.

Drawing on the unique traits of their respective home markets, panelists shared tailored expansion frameworks and regulatory compliance essentials for Chinese catering brands venturing overseas. Sherry McNeil noted stark divergences across Canada's provincial jurisdictions in franchise legislation, linguistic landscapes and consumer food preferences, stressing that thorough market research and region-specific compliant planning were prerequisites for brands entering the country.

Andrew Nugroho explained that regional development franchising stood as the most viable format for the Indonesian market, whereby incoming brands could onboard vetted local partners at the initial stage with authorization to oversee regional development and sub-franchising operations. He flagged stringent market entry barriers and prolonged approval procedures in Indonesia, which impose rigorous standards on brands' operational track records, financial disclosure and legal documentation, and recommended businesses prioritize nurturing qualified local franchisees for measured, gradual expansion.

Albert Kong cited Singapore's open business climate that makes the country an ideal launchpad for Chinese brands targeting Southeast Asia. He found most Chinese operators established in Singapore have robust supply chains and prioritize sustainable long-term growth over quick speculative profits, a core factor behind the industry's strong local survival rate. He noted that the majority of these brands refined their business prototypes via direct-operated stores before rolling out franchise opportunities across Southeast Asia incrementally.

Founders of the two Chinese catering brands also shared on-the-ground hurdles and actionable insights, which they accumulated from their cross-border expansion practices. Wei Tongrong said YONNY had concentrated on Southeast Asian market development over the past two years. She said the Southeast Asian market is well-suited for Chinese cuisine's development and urged fellow domestic catering enterprises to expand their footprint in the region.

Wei noted that penetrating a new overseas territory effectively amounted to rebuilding a brand from scratch. Her firm has secured notable traction across Southeast Asia and North America: its debut Thailand outlet posted robust table turnover, while its innovative fish hotpot, paired with a blanch-and-simmer snack concept, achieved a successful trial run at its U.S. stores. She characterized global expansion as a long-haul undertaking that requires sustained commitment and extra focus on the need for localized ingredients and original flavors.

Sean Shang outlined CHAGEE's overseas expansion roadmap. He elaborated that the brand refined its in-store management, human resources and profitability models to gather first-hand local market intelligence before gradually authorizing franchises, serving as a risk-mitigation tactic for cross-border investment.

For supply chain development, Sean detailed the brand's dual-track procurement strategy: with core raw materials such like tea being imported from China, while staple ingredients including sugar and milk being sourced locally. Overseas R&D centers adjust recipes for local tastes and team up with regional logistics providers to complete end-to-end supply chains.

The roundtable concluded that Chinese food franchising has entered a transformative phase of internationalization. Sustained overseas growth and shared global gains hinge on consistent alignment with local legal frameworks, robust supply chain development and disciplined long-term operational governance.